Minutes 1994-06-13
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MINUTES
BUDGET STUDY SESSION OF THE CITY COUNCIL
MONDAY, JUNE 13, 1994
CITY COUNCIL CHAMBERS, 215 EAST BRANCH STREET
ARROYO GRANDE, CALIFORNIA
The City Council of the City of Arroyo Grande met for a
1994-1995 Municipal Budget Study Session at 5:00 P.M., with Mayor
Matthew Peter Gallagher, III, presiding.
1. FLAG SALUTE
Mayor Gallagher led the Pledge of Allegiance to our Flag.
2. ROLL CALL
Present with Mayor Gallagher were Council Members Drew
Brandy, Bernard Burke, Michael Lady and James Souza. Staff
Members present were city Manager Chris Christiansen, City Clerk
Nancy Davis, Finance Director David Bacon, Director of Building
and Fire Kurt Latipow and Planning Director Doreen Liberto-
Blanck.
3 . ORAL COMMUNICATIONS
JONNI EYLAR of the San Luis Obispo county visitors and
Conference Bureau requested that the City budget $4,100.00 for
bureau activities and $1,000.00 for a tourism development plan.
4. PROPOSALS FROM THE ECONOMIC DEVELOPMENT COMMITTEE OF THE
ARROYO GRANDE CHAMBER OF COMMERCE
TIM QUIGGLE said a sub-committee of the EDC Community
Improvement Sub-Committee had volunteered to look at the city's
budget. He said he and Tim Banducci, Ray Burnell and Hank
Wachtmann met with the City Manager to discuss the budget. He
requested that the City budget $2,500.00 for a brochure designed
to increase retail growth and City revenue. He distributed to
the Council information that would go into the brochure.
Mayor Gallagher said Mr. Quiggle's request would be an
investment to get a return, and Council Member Lady agreed. The
Mayor explained to the representative of the County Visitors and
Conference Bureau that funding the brochure would be a more
direct investment in the community. Ms. Eylar said her bureau
needs to better educate Arroyo Grande in what it does for the
City.
Mr. Quiggle made a second proposal to the Council. He said
the budget subcommittee also was recommending that the city
restructure the Building, Planning and Public Works Department
into a community Development Department. He referred to an
information sheet entitled "Community Development." He said a
community Development Director would run the three departments,
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CITY COUNCIL BUDGET STUDY SESSION
JUNE 13, 1994
which would be managed by supervisors or team leaders,
eliminating three director positions (or two, since the Public
Works director position is vacant now). He said the benefits of
the proposal would be (1) More efficient use of resources, (2)
Improved communications and (3) position the city to more
effectively promote economic development.
council Members asked questions and made comments concerning
the timing for a study of this issue, and it was decided to
direct the department heads and management team begin a study of
the concept. Mr. Christiansen said he could appoint some people
from the management team to take a look at the issue and report
back to the Council. Council Member Brandy said he hoped
everyone would be working together as a team on the study to find
out what is best for Arroyo Grande, and the Mayor agreed.
5. CONTINUATION OF BUDGET STUDY SESSION
Ms. Liberto-Blanck referred to her Staff Report regarding
the FY94!95 Planning Department Budget. She said on June 6,
1994, the city council requested Planning staff to return with
options that would enable the city to explore, and hopefully
obtain, alternative funding sources. She said council also asked
Planning staff to consider what could be done to provide
assistance with the workload in the department. She listed
goals, options and estimated costs for the Council's
consideration.
After the Planning Director gave her report, Mayor Gallagher
asker her to prioritize the goals, and she said "Goal No. 1: To
identify alternative funding sources for public improvements and
economic development." council Members discussed the matter and
decided that "option 1 - contract with a consultant" would be
the best way to implement the goal. Council Member Burke said he
would like to go on record against budgeting the $5,000.00 for
the consultant until the city knows how it might be affected by
State cuts.
Mayor Gallagher said he would like to clarify what he
thought the Planning Department's Travel and Training budget
should cover. He said it was his interpretation that those
monies be used only for economic development training. He said
the city is making an investment in staff training for economic
development. Council Member Brandy said it is also important to
keep up to date with land use issues and new laws and
legislation.
Ms. Liberto-Blanck asked if the Council would approve the
attendance by the Planning commissioners at a local training
workshop at a minimal cost, and the Council said yes.
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CITY COUNCIL BUDGET STUDY SESSION
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Council Member Brandy asked about cross-training some city
personnel to assist the Planning Department, and the Mayor
requested that the idea be included in the analysis of the
structure of the Building, Planning and Public Works Departments.
The Council continued to go through the budget. On Page 25
Taxes/Insurance/Bonds, Account 260 Liability Insurance was
increased to $141,350.00, and on Page 26 Retirement/Fringe
Benefits, Account 120 retirement was reduced to $325,000.00;
Account 122 Health Insurance was reduced to $270,000.00, and
Account 123 Workers Compensation was increased to $176,000.00.
At Page 36 public Works Administration/Engineering, there
was discussion with Chief Latipow on cross training of the public
works inspector and the building inspector. The Chief said it
-, would be more efficient. He said he had discussed the issue in a
proposal concerning a Community Development Department in
January, 1994. Council Member Lady said he believed there were
two proposals submitted in January and asked to see both. The
City Manager said he would send them to the Council Members.
At Page 42 Street Cleaning and Lighting, DANE PHILLIPS of
Daystar Industries, current holder of the City Street Sweeping
contract, spoke to the Council. He said that three years ago,
when the City cut the amount of the Street Sweeping Contract in
half, he was promised by the former Public Works Director that in
exchange for the cut he would get a three-year extension of his
contract. He said the former Public Works Director did not take
the extension issue to the Council before his services were
terminated. Mr. Phillips asked the Council to extend the
contract at this time.
After Council discussion with the city Manager, it was
decided that the matter of the legality of an extension would be
submitted to the City Attorney.
6. REVIEW OF EARMARKED FUNDS
On Page 57 Sewer Maintenance, Accounts 120 and 122
Retirement and Health Insurance were adjusted lower to $15,800
and $16,000 respectively. Account 123 Worker's Compensation was
increased to $7,900.
On Page 58, Account 260 Liability Insurance was increased to
$11,250.
On Page 77 Streets/Bridge Maintenance, Accounts 120 and 122
Retirement and Health Insurance were adjusted lower to $26,600
and $30,000 respectively. Account 123 Worker's Compensation was
increased to $21,500.
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CITY COUNCIL BUDGET STUDY SESSION
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On Page 78, Account 260 Liability Insurance was increased to
$12,000.
When the discussion of Page 87 Traffic Circulation took
place, Mayor Gallagher requested that staff look for solutions to
the traffic problem at West Branch, Traffic Way, Grand Avenue and
Wesley Street intersection.
At Page 91 Transportation, Mayor Gallagher asked staff to
study other options for the Senior Taxi Subsidy program. He said
the local taxi company may not be able to meet the city's
insurance requirements, and there should be an alternative for
the senior program. Mr. Christiansen said the city had given the
current taxi company until July 1, 1994, to provide proof of
Workers compensation Insurance.
On Page 99 Drainage Facility Capital Projects, the
$15,000.00 amount in Account 805 will carryover to the 94/95
fiscal year.
On Page 105 Water Administration, Accounts 120 and 122
Retirement and Health Insurance were adjusted Lower to $43,000
and $49,000 respectively. Account 123 Worker's Compensation was
increased to $23,000.
On Page 106, Account 240 was increased to $44,000 and
Account 260 Liability Insurance was increased to $44,600.
On Page 121 Downtown Parking, Mayor Gallagher asked about
the progress of paving the parking lot behind the City Council
Chambers, and the city Manager said he would look into it.
7. ORAL COMMUNICATIONS
Mr. Phillips spoke to the Council on increasing the sweeping
schedule on some city streets. He also spoke about the City
developing some form of industrial job base.
8. ADJOURNMENT
It was moved by Burke/Lady, and the motion passed
unanimously to adjourn the session at 8:20 P.M.
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ATTEST: ~tJ.. ~
NANCY A. AVIS, CITY CLERK
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